(T. Boone)Pickens: U.S. Faces Disaster over Oil Wealth Exodus

moneynews.com ^ | Feb. 21, 2008 | staff

[kellynla]

One of America's most influential businessmen, legendary oilman T. Boone Pickens, says the nation's wealth is being plundered by oil exporters and the U.S. faces a potential financial disaster if our energy policy is not reformed. Pickens, who correctly predicted that oil would top $100 a barrel, also says he expects oil prices to drop sharply in the near term.

Appearing on CNBC's "Squawk Box" Thursday morning, Pickens pointed out that the U.S. is currently sending half a trillion dollars out of the country each year to buy oil, in some cases from people who "are our enemies."

Said Pickens, "You take 10 years and you've got $5 trillion ... That's more than $1 billion a day.

"We can't stand that. Wealth is moving out of the country...

"Not one presidential candidate has addressed this … The candidates have to get up to speed on what energy cost is doing to our country." Pickens even turned on his own industry, oil, and called for an increase in alternative energy sources.

"If we do not get on the alternative energy bandwagon and if we don't have a global recession, we could be sitting on $150 oil in two years," he told CNBC.

[kellynla]

He also said about Obama: "He talks about change. I haven't seen yet what he's going to change...Pickens told CNBC he now backs John McCain for president."

[kellynla]

ping

[oblomov]

He’s an interesting man. Be careful following him on trades, though. He didn’t become a multi-billionaire by giving away his ideas for free.

[Rudder]

Pickens pointed out that the U.S. is currently sending half a trillion dollars out of the country each year to buy oil, in some cases from people who "are our enemies."

Did Boone just wake up from a 20-year coma?

[kbingham]

I’m not opposed to the resurrection of manifest destiny (MF part II)—in South Am.
Everyone does what they need to do to survive, and we will as a nation.
That’s why it’s always important to keep Cortez handy.

And as always in tough times, make sure the heel of your foot is firmly planted on the face of those below you and don’t be afraid to push them into the stink.

[VR-21]

"Pickens pointed out that the U.S. is currently sending half a trillion dollars out of the country each year to buy oil, in some cases from people who "are our enemies."

What I've wondered lately is why these high oil prices haven't stimulated some domestic production like the boom of the 80's.

[oblomov]

I’d settle for a rigorous application of the Monroe Doctrine.

[Wally_Kalbacken]

Not to mention it is not a dead weight loss to the economy. Energy is an intermediate good - we use it to produce things. Assuming we continue to innovate and lead in critical sectors so that we produce the high value added things - the high cost of imported oil alone is not such a problem.

[Republic of Texas]

I hear Caracas is lovely in the spring. Our spring, their fall. You know what I mean.

[SierraWasp]

"Pickens even turned on his own industry, oil, and called for an increase in alternative energy sources.

He knows better than this! He knows that there's never been and probably never will be anything more efficient and economical than petroleum energy with the exception of nuclear... He know this and tries to send everyone else tilting at the windmills and bioenergy, etc., etc., etc...

[johnthebaptistmoore]

Domestic oil drilling throughout the North American continent, both inland drilling and offshore drilling, and the building of many new oil refineries all over the North American continent will truly drive down the prices of oil! This should of been done years ago, and political correctness (Thank you, environmentalist wackos!) continues to truly prevent this from actually being done up to this day and counting!

[JasonC]

Personally, my "stimulus package" rebate will pay about 6 weeks worth of winter heating bills, and goes straight to Ahmadinejad in Iran.

[Norman Arbuthnot]

Be careful following him on trades, though. He didn’t become a multi-billionaire by giving away his ideas for free.

Well, he was right on in early 07, calling for oil to go north of $75 to $80, when it was trading in the low $60's.

[JasonC]

Because it is practically illegal to drill for oil in the US, and all the other major energy reserves have likewise been designated "national monuments" and put off limits to development of any kind. Greens don't want cheap energy, they don't want expensive energy, they don't want development around people because that is someone's back yard, and they don't want development away from people because that is "wilderness", they don't want development, they want 95% of the population to die off and the rest to revert to a hunter-gatherer existence, all to save their goddess Gaia.

[Rudder]

What I've wondered lately is why these high oil prices haven't stimulated some domestic production like the boom of the 80's.

Me too.

Here, in SE Ohio, oil can and has been big business. When the money's right this place will fill up with wildcatters. I know many of them and get the same answer: The US govt non-public policy is that we will wait for everyone else to use up their oil. This is enforced by lack of govt-stimulating tax relief and other measures which would support more local drilling. Here, we know where the oil is (Hell, I'm trying to get well dug on my property, cause I'm loaded with lots of gas and some oil) and there is some drilling going on, but not more until the govt. policy shifts.

[Rudder]

Not to mention it is not a dead weight loss to the economy.

Right.

[oblomov]

Yes, now he says he is short oil. I think he’s probably right.

[rockinqsranch]

Ya wanna know why? T. Boone ain’ no fool.

http://www.freerepublic.com/focus/f-news/1973841/posts

[oblomov]

Caracas is north of the Equator. But it is tropical, so not much seasonal change to speak of.

[ARE SOLE]

Because it is practically illegal to drill for oil in the US, and all the other major energy reserves have likewise been designated "national monuments" and put off limits to development of any kind.

I think the RATs and Greenies should pay more for gas. Hell they should walk everywhere and leave the gas for us.

Regards